Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following is the unadjusted trial balance for Pharoah Lodge Ltd. atits year end. May 31, 2021. The company adjusts its accounts monthly Debit Credit

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
The following is the unadjusted trial balance for Pharoah Lodge Ltd. atits year end. May 31, 2021. The company adjusts its accounts monthly Debit Credit Chh 5656 Accounts receivable 11160 Supplies 5330 Propada 4600 Land 100120 Building 183500 Accumulated depreciation--building 5:22.700 36.600 Accurate de reciation fumitur 20,100 8.890 Accounts payable Deferred revers Mortable due 2024 17.500 132.000 60,000 Common shares Ramin 45.720 Dividends declared 1,830 Rent income 208,994 Salaries expense 102,550 Utilities expense 25,800 Depreciation expense 14,550 Interest expense 9,120 Insurance expense 6,440 Advertising expense 930 Income tax expense 6,700 $515,894 $515,894 Additional Information 1. An annual Insurance policy was purchased for the first time on October 1, 2020, for $11,040 cash. 2 3. 4. 5. 6. A count of supplies shows $1,310 of supplies on hand on May 31, The buildings have an estimated useful Me of 20 years and straight-line depreciation is applied. The furniture was an estimated useful life of five years and straight-line depreciation is applied Customers must pay a $100 deposit if they want to book a room in advance during the peak period. An analysis of these bookings indicates that 175 deposits were received and credited to Deferred Revenue. By May 31,25 of the deposits were earned On May 25, a local business contracted with Pharoah Lodge to rent one of its housekeeping units for four months, starting June 1, at a rate of $2.682 per month. An advance payment equal to one month's rent was paid on May 25 and credited to Rent Income On May 31, Pharoah Lodge has earned $1.645 of rent income from customers who are currently staying at the lodge. The customers will pay the amount owing only when the check out in early one Salaries of $1.450 are unpaidat May 31 Interest on the mortgage payable 4 5770 for the month of May and due June 1. The May utility bill of $2.157 has not yet been recorded or paid Additional income tax is estimated to be 1,020 7. 8 10 11 pro Prepare actual ntries for the month (Ustall debit entries before credit entries. Credit account titles are automatically Indented when the amount is entered. Do not Indent manually. Round all amounts to the nearest dolor. If no entry is required, select "No Enthesis and enter for the amounts.) No Date Accountities and Explanation Debit Credit May 31 2 31 3. 31 4 31 TE 10. TE 6 TE 8. TE I TE 9 TE 31 10. TE 11 31

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing & Assurance Services A Systematic Approach

Authors: William F Messier Jr, Steven M Glover, Douglas F Prawitt

11th Edition

1260687635, 1259969444, 9781259969447, 978-1260687637

More Books

Students also viewed these Accounting questions